Auckland properties sold by the city's biggest agency, Barfoot & Thompson, have hit a new all-time price high of $756,909, up $20,671 in just 30 days.
Peter Thompson, Barfoot managing director, has just released the latest monthly data showing a post-election splurge caused the price spike.
Barfoots' media price in the election month of October was $736,238.
Volumes rose sharply too: in January 854 properties were sold unconditionally with commissions paid, February 771, March 1392, April 811, May 1109, June 1037, July 983, August 909, September 959, October 939 and November 1105.
Thompson said sales were the strongest they had been for some time.
"For the previous three months the uncertainty that always exists around general election time was influencing sales, but the market put that behind itself by November. November is normally one of the strongest sales months of the year, and has proved to be again this year.
Attendance at auctions was extremely high, there was keen buyer demand and new listings were strong. It added up to a buoyant month's trading that saw the average price increase by 2.8 per cent over that for October and it was 10.6 per cent higher than the average price in November last year. Sales at 1105 for the month were the highest since May, and were 18.1 per cent higher than the average number of sales we have achieved monthly over the previous three months," Thompson said.
"The current record sales prices are not proving a deterrent to buyers, with demand at the top end of the market being extremely strong," he said.
At month end we had 3303 homes on our books. While this will contribute to an active month's trading in December we anticipate sales numbers and prices to edge lower during the current month.
Sales of homes in the under $500,000 price category at 225 made up only 20.4 per cent of total sales. This was the lowest number of sales in this price category in any month this year, and reflects the challenge those not already in the market face when trying to meet the LVR ratio, Thompson said.
Real estate asking prices in New Zealand have hit an all-time high of $509,750, according to an internet listings business.
Nigel Jeffries, head of the Trade Me Property Price Index, said prices had risen steeply in the last two months.
"The November data echoes the lift we saw in October, meaning sellers have continued to raise their price expectations to land at a new high water mark of $509,750. There has been a resounding resurgence in the property market after a pretty subdued winter and that all adds up to good news for sellers and a bitter pill for buyers to swallow," he said.
The average asking price across all property types for the three months to November was up 13.7 per cent year-on-year, and the new record asking price represented an overall increase of 27.6 per cent since November 2009.
Year-on-year rises in average asking price saw the Hawkes' Bay up 24.1 per cent, Taranaki (+18.2 per cent), Canterbury (+12.5 per cent), Otago (+11.6 per cent), Auckland (+11.3 per cent) and Southland (+10.8 per cent).
Pressure in the Christchurch residential market appears to be easing, with the November increase of 12.5 per cent down on October's 13.6 per cent increase, Jeffries said.
Expectations in the apartment sector are on the rise with a new average asking price record of $426,950 last month.
"It's no surprise that the driving force here is Auckland - up 22 per cent to an average asking price of $435,500, and up more than $30,000 since October. Compact living in the city remains alluring," Jeffries said.
The index tracks listings from private advertisers and real estate agents and is produced from listings on Trade Me Property.